Question

Imran deposits Rs. $400$ per month in a post office as R.D. for $2$ years. If the rate of interest is $12$%, find the amount he will receive at the end of $2$ years.

Answer 1

Amount deposited every month =$P=Rs400$

T(in\ years) $=2=24$ months

Rate$\left(R\right)$ of interest $=12\%$

$\therefore$ total deposit made $\left(T\right)$ =$\frac{1}{12}\left[\frac{N(N+1)}{2}\right]$

$=\frac{1}{12}(24\times \frac{25}{2})$

$=25$ years

Now interest$\left(I\right)$ =$\frac{P\times R\times T}{100}$

$=\frac{400\times 25\times 12}{100}$

$=Rs1200$

$\therefore$ total amount due =$P\times N+I$

$=(400\times 24)+1200$

$=9600+1200$

$=10800$

$\therefore$ Imran will receive $Rs.10800$ at the end of $2$years.